Tim Bridges owns a bass fishing boat.His state imposes an annual 3.25 percent tax on the current value of this boat.What type of tax is this most likely to be?

Question

Quizplus · Accepted Answer

The tax imposed on the current value of Tim Bridges' boat is most likely a personal property tax. Personal property taxes are imposed on tangible personal property, such as boats, cars, and other assets, that are owned by individuals or businesses. These taxes are usually assessed annually as a percentage of the value of the property. An excise tax is also a possibility, as it is a tax on the purchase or use of specific goods or services, but personal property tax is a more precise definition for this case.

Tim Bridges Owns a Bass Fishing Boat